Tourism spending rises in Massachusetts as sector nears pre-pandemic levels

Kate Fox Executive Director Massachusetts Office Of Travel And Tourism
Kate Fox Executive Director - Massachusetts Office Of Travel And Tourism
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The Massachusetts Office of Travel and Tourism has reported that in 2023, the state’s travel and tourism industry saw a 5.3 percent increase in spending, reaching $23.6 billion from 52.3 million domestic and international visitors. This activity generated $2.3 billion in taxes for both municipalities and the state, while supporting 154,330 jobs.

Governor Maura Healey commented on the sector’s performance: “Massachusetts’ tourism industry is a critical part of our state’s economy, showcasing our rich history and culture for millions of visitors from across the globe,” said Governor Maura Healey. “We are thrilled to see that tourism in Massachusetts continues to grow and just reached a five-year high – and we look forward to continuing to build on this momentum as we celebrate Massachusetts 250 over the next couple of years.”

In terms of tax revenue, visitor-generated state and local taxes amounted to about $825 per household statewide. For every dollar spent by visitors, 6.7 cents contributed to state taxes and 2.8 cents went toward local taxes. State hotel occupancy tax collections were reported at $395 million, with local option room occupancy tax collections totaling $350 million.

Lieutenant Governor Kim Driscoll noted the effect of international travelers: “The resurgence of international tourism in Massachusetts is a welcome development for our regional communities,” said Lieutenant Governor Kim Driscoll. “Increased visitor spending will directly support local businesses, from hotels and restaurants to shops and attractions, driving economic growth and creating jobs.”

International visitor spending increased by 80 percent year-over-year to $2.9 billion in calendar year 2023, approaching pre-pandemic levels last seen in 2019 when such spending totaled $3.3 billion. Domestic visitor spending remained steady at $20.7 billion compared with the previous year.

Economic Development Secretary Yvonne Hao highlighted the broader impact: “Tourism plays a vital role in our state’s economy, generating thousands of jobs and billions of dollars in spending that supports our small businesses and diverse communities,” said Economic Development Secretary Yvonne Hao. “In Massachusetts, we’re committed to building on our successes and aim to make our state a top destination for domestic and global visitors.”

Kate Fox, Executive Director at MOTT, pointed out collaboration efforts: “Massachusetts rich history, vibrant culture, and stunning natural beauty make it an irresistible destination for visitors,” said MOTT Executive Director Kate Fox. “Our partnership with regional tourism councils, cultural institutions, and businesses is essential to showcasing these unique qualities and attracting travelers from across the world.”

A chart detailing county-level impacts shows how tourism affected spending, earnings, employment, and taxes across Massachusetts counties during 2023; these figures are based on data models using information from sources including Dean Runyan Associates, U.S. Department of Commerce reports, Omnitrak’s National Visitor Survey data, Mass DOR records, AirDNA analytics, and Smith Travel Research.

The mission of the Massachusetts Office of Travel and Tourism (MOTT) is focused on promoting Massachusetts as a leisure and business travel destination throughout all seasons for both domestic and international travelers.



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